Monday, September 27

The price of electricity breaks another record and soars to 172 euros / MWh pending the Government’s shock plan

The average daily price of electricity in the wholesale market will smash all records this Wednesday, waiting to know the details of the shock plan that the Council of Ministers will approve this Tuesday to contain this unprecedented escalation.

The so-called pool will be placed this Wednesday at 172.78 euros per megawatt hour (MWh), which represents a rise of 12.61% (19.35 euros more) compared to the price of this Tuesday and is 18.62 euros above the historical maximum of 154.16 euros reached on Monday.

According to data from the electricity market operator (OMIE), the highest price this Wednesday will be between 9 pm and 10 pm, when it will reach the unprecedented figure of 180.3 euros / MWh, while the lowest will be 159 , 42 euros and will take place at 24 hours.

After breaking different historical records in both July and August, the month of September will break all records, beating the highest prices of the entire historical series week after week, as a result of the explosive rise in the price of natural gas and of CO2 emission rights, which has shaken the European electricity markets.

In August, according to data published this Tuesday by the National Institute of Statistics, electricity has shot up 34.9% year-on-year, although it compares with 2020 in which the price of electricity was historically low due to the pandemic.

Faced with this situation and the growing social alarm, the Council of Ministers will approve a new package of measures this Tuesday, so that Spaniards pay at the end of this year an amount similar to that of 2018, as promised a few days ago by Pedro Sánchez .

The Prime Minister announced on Monday on TVE that “the extraordinary benefits that energy companies have” will be withdrawn to redirect them to consumers, “bumping” the gas bill and thus reducing the electricity bill, which has caused falls in companies on the Stock Market.

According to Sánchez, companies “can afford it and we are going to redirect it to consumers,” and “it is not reasonable” that these companies have such extraordinary benefits at this time. “We all have to be in solidarity and we all have to make an effort,” he remarked.

In addition to this detraction of the extraordinary benefits of the sector, the Executive will give the green light to the suspension until the end of the year of the 7% tax on electricity production and will reduce the special tax on energy from 5.1% to 0.5% , which is the minimum required by community legislation, according to Sánchez.

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